tv Fast Money CNBC July 15, 2014 5:00pm-6:01pm EDT
going to find out. >> that third quarter guidance 66% gross margin is a big number. with that said, another $20 billion authorized for the stock repurchase, things are happening and my sense is this will continue to overshoot to the upside like you've seen in other names in this space. >> of course, the implications will be felt across the chip sector. a number move higher, we do have the impact not only from intel but also from the apple news in the after-hours session. >> but this stock was left for dead because everyone thought pc demand was over. now you see pc demand coming back. you have their chip business are in the tablet business, right? so they're hitting on there. they also have the cloud business. so chips, storage, everything, they're hitting on three
different categories where we didn't think they would be able hit on all three. maybe one of the. all three now. >> certainly good news for the tech sector here. >> it's good fuse if you look at the valuations. i don't think they're stretched at all, if you look at them at good cash flow. it's not the most exciting right here. but you would have done nicely with this relatively boring thing. >> this megacap tech is trading at massive discounts in the market 10, 11 times, all of a sudden, all of these things runs, revenue and sales growth is single digits from here on out, they're buying back stock hand over fist. they bought it back in the quarter. they're massageing the beasts here t. margins, obviously, fantastic, the high end. to me, i think they're getting frothy, 15 times market multiple doesn't sound crazy, it is for these. >> let's get more intel, bring in fdr semi conductor analyst chris rollins. you have been hearing us debate
this stock on the desk. water yoour your view of intel, given the quarter and the pop and how far it's come. >> so strong results, strong guidance across the board her every single segment. you are talking gross margins beat on results in guidance, earnings beat results probably on guidance or at least analysts estimates tomorrow. i was at 13 times my 2015 numbers. >> that p is probably going down tomorrow. so it's incredibly reasonably valued here. in addition, c is doing just fine. in fact, we're going to break some research with you guys today. we're actually raising our pc stills. we're now going positive on unit growth for the year here. so this is a countersen census call right now. even if you look at guys like third party research companies like idc and gaertner, they're still down 3%. you seem them reverse. >> this is world wide pc estimates on your part?
>> we are going positive for the year. >> you no ethis stock well. you listen to management and talk about guidance, do you think of them as conservative, straight up the middle or aggressive? how do you think about it? >> i think of them as aggressive when they're behind the curve and where they want to be. then i think of them as slightly more conservative when they are, in fact, beating. when you look at that gross par gin guidance for the full year for 2014, that's unchanged even though they put in a 66% guide well above the street's 62. so that could be one indication to sandbag if you will or conservatism. >> in terms of your coverage list in the space, amd is showing signs of renewed life after a decade of death, basically. >> yes. >> does this stock have a chance difference what you said about pc growth and what intel just said? >> yes. a huge run if amd. something similar to intel. a similar setup there as well. amd, i think of them as a leopard changing their spots
right now. they're trying to get away from the pc business and this gaming consol. i like them. i don't like the setup into the quarter. i think they can go to 6. that's my price target. that's my next move from here. >> the pcf grade cycle some would argue is priced into the stock given the 20% run so far this year. are we looking forward to a refresh cycle before the middle of 2015? >> yes. so i till think that people are behind the curve on pc. pc can still get better from here. in addition to that, their data center group. they have guided 15% growth in that segment until 2017. these numbers are putting them back on track to hit that. there was a lot of skepticism there. so this upgrade cycle in servers going from romaly to grantly, there is a lot of pent-up demand. it wasn't there for romaly. it is there for grantly. we think that could be a nice upsource. finally on mobile, mobile, bad
news for them is actually good news. if they were to get out of mobile, it would be perhaps an 80% adder oeps. it's going poorly for them. >> i was surprised how small mobile is compared to internet of things even. >> and disappointed the street substantially this quarter. if you were to nit pick it, that would be a one sore spot. >> chris, thanks, for stopping by. we appreciate your analysis. chris rollins of fdr. did anything chris say -- >> no. >> chris knows this is a cyclical business. they put up a big margin. the ceo said on the interview they will keep margins 55 to sky. peak margins are 65 for this thing. within they get hit, within they go down, they go down really hard. i'm saying they're massageing the earnings. though the earnings don't look bad, if the cycle ends, this enterprise thing was a catch-up. we see it come in more towards the high 50s the stocks will be
lower. yahoo is losing early gains on earnings, after what it plans to do after the ali baba ipo. let's bring in the senior tech analyst who is monitoring yahoo's call for us all hours. he has a hold rating, $37 the price. colin, what are the heils so far? >> melissa, this is the lowest revenue gap from yahoo since marissa meyer has been ceo. it's, quite frankly, a dismal core earnings report. it's very much in the turn around mode, marissa is saying it takes time, multiple years, this is still still the case today. they're talking about the daily habits. what everyone is looking for is more discussion on the upcoming ali baba ipo and the proceeds that will come to yahoo. obviously the big news is they will be selling less shares. they will be returning half of that to shareholders. >> so selling fewer shares,
returning less to shareholders, i mean, that could be a big disappointment, how do you view that? >> that's what made the stock pop after hours. i'm neutral to negative on that, are you buying and investing in this management company to be investors? who is to say ali baba will be a success after the ipo. programs it's one of the best windows to get ohio we saw what happened on facebook, it took a long time for the stock to get whole again, plus with less proceeds to shareholders, they have less cash to try to turn the company around again. that -- the majority of their assets will still be locked up. okay. we will have that public mark. but again, we're not paying this management team to make these investment decisions. we are paying them to turn around the core business. >> that's true. at the same time we have been foging marissa myers, what will she do with that cash and can she hang herself if she spends it on something stupid or overpay for a property because
she is looking for that shiny ring out there and she can overpay for it. >> that's the other speculation. the other thing is the "tell" is if you look at amazon's performance going into ali baba, you would have thought they got smacked around because of the comparison people are making. i'm not sure, but colin, do you think there is the "tell" about how amazon is acting going into ali baba? >> so, you know, in terms of the impact on amazon, ali baba being the force in commerce that it is, it's going to long term have an impact across commerce globally. but it's not going to have a major impact in our view near term on amazon. so it's something that you want to keep your eye on. obviously, with ali baba going public, they will seek growth outside of coin's borders and a logical area is the united states, but that's going to be a longer-term play. >> all right, colin, we will check back in later on, meantime, apple announcing a new partnership with ibm.
begot the exclusive interview with apple ceo tim cook. that's next. plus, jamey wright diamond faces the analyst. find out why the j.p. morgan performs on this conference call impressed wall street. what it means for the financials coming up. but i've managed. ♪ i got to be pretty good at managing my symptoms, .
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take a look at ibm. we will go to josh lipton, apple and ibm was announced moments ago. josh. >> yeah, melissa, a big new partnership announced between ibm and apple. a new suite of business apps bringing ibm to apple's iphones and ipads. i had the chance to speak to apple's tim cook and ibm ginny recommendadi about this partnership. >> ginny and i started talking years ago getting to know each other. we bild built up a tremendous trust and respect for each other and talked about how complimentary our companies are. so from that we asigned teams to do together. this is one of the things that
came out. i think it's absolutely huge. it's landmark. it takes the best of apple and the best of ibm and put those together. there is no overlap, no competition. we agree on the top three things. one is growth this idea we talked about remaking business and imagining professions, so this is all about unlocking mobility in the enterprise and value that hasn't been there to date. the third thing we will do together is addressing the no. 1 inhibitor. it's been things like security. so we're really providing value all the way across those issues. >> let me ask you, it's obviously a big push here by apple into the business market. when you think about that, tim, how big of an opportunity is that for apple enterprise? >> well, i think it's big or i wouldn't be sitting here today. you know, this is a multi-year
journey for us. we started investing in ios back in ios 12, adding enterprise features. through the period of time between where we are today. we have over 90% of the global 500 by the reality is the penetration in commercial in general for mobility is still low so where we have very good market share, the penetration suggest twls is a huge opportunity here. i think if we can brit to enterprise, i think there is a huge opportunity here and we've had a kind red spirit in ibm. >> reporter: now, as you heard cook say, apple has been pushing into the business market harder for some time here, the free productivity software. we have security features on mobile devices. i asked them to talk about the
industries that would really benefit from the partnership, some examples of apps. here's what they had to say. >> one of the apples we looked at, think about the airline industry, fuel moving analytics around fuel. this is taking that mobile application in the pilot who makes that final determination how much fuel is on board. this can save 10, 15% for an airplane deployed widely. that's taking the complex, scaling the enterprise down into the hands of the individual user. >> this is a great example of taking it to the next level. pilots were one of the first group to adopt the ipad and they did the because their flight manuals were like this. so by putting all this on the ipad, they had access at their fingertips. it saved fuel, actually the weight of those flight manuals were so huge, this arguably now takes that decision level-making to the next level and so there's thousands of these examples across retail from insurance to
banking to literally all of these verticals. there is what gets us excited. it's really redefining and reinventing the enterprise. >> now, there suite of business apps will be available this fall. for the hard numbers today, clearly as you heard, a lot of excitement about the potential opportunity on the part of can them. >> josh lipton with the exclusive, thanks so much, josh. with more on apple, let's talk to tony, i believe you cover apple and ibm. in terms of the stocks in the after hours session, both are up sharply. is it that big of a deal? >> good afternoon, melissa. yes, i think it's significant. as tim pointed out in your interview with him, what makes this really nice is the complimentarty. ibm is really the king of enterprise, apple the king of consumer.
so you have no conflicts. i think they can bring their relative strengths to one another. you can envision, ibm putting its software development capabilities and enterprise hacked together and coming up with really creative vertical ios applications that can really advance productivity and organizations. that's tremendous in terms of trying to drive further iphone or ipadage option. similarly, apple has a platform that's more recognized and can generate more sales. i really do think this is something that can ultimately be material for both. i think perhaps more so for ibm. one they have a lower revenue base per se. b, ultimately, if they will be selling many of these solutions together, so selling the phone as a reseller. selling the ipad as a reseller as well as doing some of the services work associated with it. they may ultimately be the bigger refnary beneficiary
downstream. >> do we understand the concurring revenue stream, which would also be something highly coveted by apple? >> right. so it's hard to say. certainly, what could happen is that apple would sell a device to ibm, a hardware device and ibm would, in turn, sell it to their customers. they would have revenue associated with that. because ibm has a smaller sales base that could be more material. it talks about simple customer support to apple and enterprise and developing and custom mizeing and on site report largely going to ibm. both companies could speempbts a revenue boost. i think much of the revenue may be driven by incremental hardware sales. >> toimpb, you know, admittedly, this looks like a big deal for apple. is this an act knowledgement the
growth is in ipads and icell phone in we know there is this whole host of competitors out there and, ultimately, we know these are commodity prices and they're likely to have more going forward. as we see the saturation the move into enterprise is this acknowledgement of slowing consumer trends? >> i don't know if it's an act knowledgement, per se. any time a company has an opportunity to grow faster. you want to seize that opportunity. whether apple was growing 30% or more modestly. i certainly agree the high end smartphone market is the mature marketplace today. most people have high end smartphones and so, and increasingly in business, many people are bringing their smartphones to work and having them supported be i their companies so is this going to dramatically increase smartphone penetration among business users? probably not.
could it dramatically increase ipad penetration? i think it could. many workers do not use their ipad in a corporate setting. so if you had powerful business applications like the examples that jimmy and tim provided, there certainly could be a much more pronounced use case for ipad. ultimately, i think that's where the bigger opportunity is. >> we got to go. but i have as to ask you one last question. conspiracy theory here, you think apple comes out possibly in after hours, is this for a bad quarter? what are you expecting? >> i don't think it has anything to do with their quarter him i don't expect ibm to post a great quarter. this is a joint announcement and the timing was around earnings season, both companies are reporting imminently. i don't think its covered. i also don't expect a great quarter from ibm. >> tony, great to have you. thank you for your time. >> well, it is cover because given that and the intel now the
stock is up $4. that's a huge more for ibm on any day. i think it is a good quarter. will people look past it? >> i think you give them way too much credit. if they turn around, ibm is old, they're rusty. they can't move. they're not that nimble. >> they can be available this fall. so. >> it doesn't matter. to dan's point the margins will be extremely weak on this venue. >> for the hardware. probably not for the services. i just made one other point. for im, it gives their sales force something new and exciting to go the out and stalk to their installed base about. >> bring the way, blackberry after session down what 4% at its lows. >> is this another, bad for blackberry. good for you. >> that's what the market is telling you right here. do you agree with this? >> i'm not really zaire sure. i don't love blackberry anyways.
i interpret everything as bad news for blackberry. >> coming up alan mulally heading to google's board. the latest developments and what it might mean for share hollers. that's next. later, janet yellin putting on her social media analyst hat. what she had to say that made steve grasso buy into shares later on. state, we're changing the way we do business, with startup ny. we've created tax free zones throughout the state. and startup ny companies will be investing hundreds of millions of dollars in jobs and infrastructure.
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appointment, a veteran corporate executive. he will serve on google's audit committee. so this is a big deal for google looking to bolster its ranks on its board. in it larry page the ceo says larry brings wealth and technology experience alan mulally says i am glad to serve on an iconic company. i look forward to working with the google board and management team to continue to deliver this compelling division back over you to you, melissa. >> what's your take on this news? >> i think he's an excellent addition to any board. they should be happy to have him. google, i am long, should not be held up on a pedestal of great governance, they have great governing. i trust them to do the right
thing. >> kicking off top trades, it was j.p. morgan that saw stock soar just under 3.5% on the day. ceo jamey wright dimon re-assuring investors that he will be at the forefront of the big bank despite his recent cancer diagnosis. >> i feel great. i think i have some of the best doctors in the world. i will be receiving the best treatment. i am fortunate this is kur about. i do plan to work. i do plan to read. i will be accessible. >> he sounded good, karen. >> i think he sounds great. >> sounds great? >> everything about him, great. you know, it was classic dame dimon call. it's always so impressive when you have a ceo that knows every part of their business so well. they have community banking that was good. credit quality improved a little. trading was a beat in that it wasn't as bad as the mid-quarter guidance that they had given,
which was also what we saw in city bank yesterday a $1.5 billion buy back. they talked about being somewhat more opt mick about the economy. which is good. ba us the net interest margin actually went. i think it narrowed bun u one basis point all in all, a great return. it was a very good quarter. it shows the earnings power is there. up $2 bucks. it's more expensive on others on a price to book. on a price to earnings, it's not. i like it. >> bac. we're so i can't spin forward. i believe they're a trading vehicle. somewhere between 15 and a quarter and 15 and three quarters. >> that said, we're at the higher end of the range. >> that has been true for quite some time, i tell you goldman sachs was setting up for a fantastic quarter. they got it. they beat revenues by a up canle billion dollars. tangible book is 148 and change.
i don't think so. i think the goldman quarter is better. >> stock was up 1 and a quarter person. they're down massively from the highs oand on the year. >> market is speaking. >> to use your own words. >> next, i'd like you to be taken, 7% two firms warned on the firm lowering a 2015 eps estimates barclays is cutting from 85 to 82, reiterating its under rating. dan. >> where do we start? here's the thing. we've seen blowup after blowup. the stock is now down 21% from the recent all time highs. this was not a particularly expensive stock. if you believe the growth estimates north of 20% next year. now it's trading below that. here's the thing, people, we seen it one by one, this stuff
taken to the wood shed as you said, it's whole foods, coach the list goes on, lulu, on and on and on so somebody saw something they don't like. to me, i think you avoid these, i think these things, people keep telling me are stock pacific or one offs. i think they're a part of a broader trend and the u.s. consumer is weak. >> i disagree, coor's is at a multiple. kors. i wonder why two firms the same day downgrade? is the company taking members down a bit? i don't know. we'll see in a few weeks when they report. i couldn't own it. eighth big write up in the high 20s where the multiple, what i couldn't own it. on the heels of this kors massacre, macy's has come in a lot. we bought a fair amount of stock
today. is it the bottom? i don't know. i really want to own it here. this is about as cheap as it's been on a relative p.e. on a forward p.e. and maybe i don't know four years. >> i think over the weekend they were saying kors better be careful, they'll wind up like coach. any time you compare to coach that might not be a good thing. >> that might have set off the downgrade. biotech and social media stocks sending sectors lower in today's trade. is there still money to be made? plus, find out what marissa meyer said on the call that made yahoo stock fall? think fresh session lows. that's next. .
. massive warning, biotech and social media stocks coming from the federal reserve of all places today. fed chair janet yellin making interesting marks from pence the fed's mon they're report. she said valuation metrics in some sectors do appear to be substantially stretched, particularly in the biotech industries despite a notable downturn in equity prices for such firms early in the year. now i was sort of intrigued by this, i didn't think janet yellin was a stock picker let
alone a biotech or social media expert here. >> she has that long-short ibm trade. >> what place of hers? my dpurtd lcomputer lit up sayig what is she talking about? everyone got so crushed underneath that statement that it was perplexing for the whole industry. >> take for instance the biotech industry, 53 ipos this year. so far this year. we are only halfway through the year. that's the same number as the whole entire year last year. a lot of these stocks are doing really well. take a look another these forward p.e.s we dug up. if you look at the current big cap stock, they a around 39. >> i'm obviously not an elected official. >> once you name five buy
stocks. then you know what the multiple is. >> to be fair, how many stock peckers have told janet yellin what to do with the fed? >> has she listened? she is in the point of some power. it doesn't matter what those voices said. when she says something to act like an analyst, that is extremely dangerous in this business. >> with that said, with that view, you used her as a contrarian indicator. >> i did. >> i think it's -- >> i'm sorry. . >> oil sorry. >> so i thought it was going to be a quick turn around. it did start to tick higher. i was reserving the right to sell it on a quick pop. you never know on this game. >> that's the large thing the large cap stock sold off the small stocks were the ones. >> it went her way. >> i think this may end up ponding like the exuberance that
was taken out. this may haunt off. >> exactly. >> so that's why i felt good about that. >> you are saying. >> selling rush or short? >> the bubble, is that what you are saying? huh think she pricked the bubble? >> why shouldn't she do this? you think she wants to preside over a huge equity bubble created because of policy? >> biotech and social media stocks? that will prick this bubble? >> why not. this is where stocks came off 30, 40, 50% a few months ago. >> the fact that they brought themselves in. can you imagine paul voelker? you weren't around then. he would never do this at all the role of the fed chair has changed dramatically. it's crazy, she can talk about whatever she wants. it's madness. >> it's a matter of whether you listen. >> voelker, though, this fortunately has assets, this
economy is on life support. we have 6% unemployment. we have growth. >> she should have stated if she said valuations are stretched, what the fair valuation was. so we will at least know, if she will play the analyst game, finish the thought. >> if janet yellin is listening, tweet us. let's get to julia borsen for the latest. >> marissa meyer kicking it off with her priority of long-term sustainable growth. she said repeatedly she's not satisfied but warned this kind of turn around could take years. >> transformation is not a singular event. it is a series of events and quartert, some more challenging than others and some more successful than others and it will take time. in the case of yahoo, i have stated in the past we believe a transformation of this size and scale will take multiple years. we continue to believe that is the case today. even so given our top priority
of long terms sales growth, we are not satisfied. >> while myers says she's not satisfied. she talked about mobile the native ad format and ads often tumbler. investors are curious about ali baba. they sold roughly 6% of the company. the cfo says the company expects the sale of the ipo to be fully taxed adding that these transactions are complicated and can take multiple years. melissa, myers is right now wrapping up her comments. they should open up to analysts questions shortly. >> thanks for that. i want to go back to bbc financial, colin, we saw the stock move lower by about 2%, what caused that? >> sure, melissa the cfo was giving his forward giants. he basically said, look, growth the a function of investment. we need to reset expectations,
you should expect q3 to be the same as queq2 if the company go public as planned. all in all, there is just nothing very positive coming from this earnings call. the management is trying to talk about mobile numbers and how their mobile active uniques are up. the reality is smartphones are exploding. of course, that's going to happen. this is still a company that's in tur mail. >> meantime, of course, intel's conference call is under way as well. let's go back to headquarters. john. >> melissa, the big question here the analysts have been asking lots of different ways is how long is this outperformance based on the corporate pc refresh going to continue? so management got into exactly what's driving it from their perspective. take a listen. >> it's driven by the good factors, the 400 or the 6
million systems four years ob or older, new price points and window's xp in the lifeing. so all of those things are coming together to drive this. you see the least lasting through this year, we believe st that's built in to our forecast. >> they said don't take that to mean it's going to end's of the end of the year. they haven't done the forecast for 2015 quite yet. the consumer has not really come back yet, though they're hopeful that new packers and chips allow fanless devices will maybe see some life, particularly developed markets come back into that. they've had maybe more of an invent ore build among their customers who were skittish a year ago where the economy wasn't good. they are building a little more inventory. >> that could suggest to some that maybe some of that comes off at some point. you never know, also, they are talking about the members in business versus consumer saying
it's roughly 60% consumer, 40% business that they're selling into. they can't track it precisely. that's what they believe it is. a shift from what it was before. all of that has to factor into figuring out how long this outperformance from intel might last on the back of the enterprise pc refresh before the consumer shows up or not. >> thanks for that update. meantime, take a look at intel shares in the after hours session, if they open with they are, this would be a ten-year high if not a 15-year high for shares of intel. >> i think at this point i'm at dance camp. at $33 bucks you take profits. you will see notes. i think you got to take some money off the table if you have been fortunate enough to be in the name. >> some of the biggest hedge fund heavy weights, deliver alpha a year ago. ahead of the conference, which is tomorrow, we break down who got it right and who deserves a fast fire.
dan. >> they're four times average daily volume in disney, most of it was calls one big trade, the traders sold 50,000 o. january '95 calls at $1.44. what's interesting about that the stock is a couple percent from all time highs. you would think this is liquidating a profitable position. on june 4th, these options were bought for 1.securities & exchange commission t. trader is locking in a $1.1 million lossful this is highlights in a low vol environment to make money directionally in options. you got to get a lot of things right, direction, magnitude and timing. this is the year-to-date right here. it has a nice breakout. it looks to be coming back to the breakout level. here's the thing, right, if this stock breaks that up, trim line in place a long time. those calls will be very much a lotto ticket. i think there is probably a leveraged trade to a long position getting out. >> thanks for that, dan.
the biggest names in hedge fund, we'll be at one place tomorrow. delivering alpha conference. some of the headliners this year, kate kelly joins us for the three best ideas from last year, what were they? >> here they are. a dead heat between call corps and netflix, each up a little over 72% and through today's close and a runner-up for mckesson up 60%. netflix was the best performing the well performing video streaming service. was investor activist carl icahn's pick. he spent time sharing with brett arc big believer in the stock and argued with his dad over when and where to sell it. the elder icahn took shares off the table for over $800 million last october. call corps was the second runner up by a hair.
leon cooperman offered ten offers and most by strong double digits. at delivering alpha last year. cooperman said the brazilian care call corps was dramatically undervalued. it would be a nice position to share cash to shareholders later in the year. finally mckesson was called out by larry robinson, an expert on health care investments in recent years, he's done trickally. he predicted margins would improve at the pharma stock and any incremental improvement could lead to big gains. there you have it, a compelling blue print for what we hope to see more of tomorrow. maybe cooperman will do ten out of ten over the coming 84. >> that will be quite the record for leon cooperman. >> he's the man. >> who would you stick with? >> mckesson. i think netflix is dangerous i like mck pittsburgh kissson
best. >> we have the best ideas tomorrow and all these headlines. >> we have two best idea panels. one is slated a macropanel, the other is the more traditional stock pick, we have jane mandillo hasn't.publicly after leading the harvard endow. and mary trilo with j.p. morgan. >> we look forward to that we have a mystery guest on delivering alpha we broadcast live on "fast money." also i got the exclusive sit down with john paulsen of paulsen and company, 2:15. tune into cnbc for that as well. the youngest conference call wrapping up. we get a final word from colin gillis right after this. .
the pricing plummeted 24% on a year over year basis. there may be some investors who may want to pursue shares. at this point that's speculating not investing nothing here to change change our thesis. >> you had a hold rating. are you going to change that you sound incrementally negative on the name. >> if valuation is beaten down. the question you have to ask yourself is how is the overall broader market going to stand up heading into august? and what will happen with the ali baba stake when that happens and investor appetite for it. >> our thanks to you for sitting by. dan, what do you think the trade will be tomorrow? we are off the session lows we should note. >> i think this gets bought to me i think it's a bit of smoke and mirrors. i think marissa meyers knows how difficult the challenge is here, if she can blame ali baba down lower than where they sold a block or much higher.
she is maybe on the call. >> tonight on "mad money's" kramer sits down with the cfo interactor with the grand theft auto. we come right back. stay tuned. ♪ [ girl ] my mom, she makes underwater fans that are powered by the moon. ♪ she can print amazing things, right from her computer. [ whirring ] [ train whistle blows ] she makes trains that are friends with trees. ♪ my mom works at ge. ♪
time for the final trade. dana than. >> i'm withgy for once here. >> really, wow? >> here's my surprised look. >> 25% in two months. i think it is good news i think you take profits here. >> final trade is face book. you know what carl said about yahoo, it's speculating if you own the stock in ali baba, i am speculating. all ownership is speculating. i still own 20% of my position. i'm holding it into ali baba. >> this kors sell-off i said earlier has overdone macy's by a lot. i love the name. it is the best operator out there and rarely do you get to find the best at the cheapest price. that's why macy's is here. >> i know you will watch a shoutout. >> sure. >> lionsgate, the announcement
of ali baba, that's a big deal. held 27.5 a number of times. ty think this is when the stock pushes up towards $35 bucks. >> i'm melissa lee. thanks for watch, watch "fast money" my mission is simple -- to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm trying to make you a little money. my job isn't just to entertain but to teach you. call me at 1-800-743-cnbc. or tweet me @jim cramer. if expectations are hot, you might lose money no matter what a company says or reports.